IVAN MARTEN: Perhaps the most important fact is that fracking is not some new experimental procedure that was developed for extracting shale gas. Nor is it particularly dangerous.

Hydraulic fracking—which upstream experts refer to as “fracturing”—involves sending large quantities of water, sand, and fluids at high pressure into a reservoir in order create small fractures in the rocks. These fractures increase the permeability of the reservoir and hence the amount of hydrocarbons that are able to flow out.

This technique has been used in the oil and gas industry since 1949, and it is widely estimated that more than 2 million fracturing operations have been performed world-wide. Even in conventional oil and gas fields, 20% of the wells are usually stimulated through hydraulic fracturing. There are inherent risks, however, in conducting a fracturing operation. For instance, it is a challenge to control the type of chemical fluids being sent into the reservoir and to ensure that they do not come in contact with aquifers. But these techniques are well understood by the operators and by the service companies performing them. They are not alchemists testing some formula for the first time.

The difference with fracturing shale is linked to its scale. To be commercially viable, every single shale gas well needs to be fractured. And compared with traditional oil and gas fields, shale gas fields simply require many more wells (see our report The Great Shale-Gas Development Race on BCG Perspectives). The number of hydraulic fracturation operations conducted, therefore, has grown exponentially over the past seven years, and will continue to grow. While the percentage of accidents per operation is likely to decrease, the total number of incidents may increase simply because of the greater activity. Oil companies and governments have to be prepared for this. Consistent regulations across countries will benefit all stakeholders.

Iván Martén is a senior partner at The Boston Consulting Group (BCG). He is the Global Leader of BCG’s energy practice.